Unofficial Earnings Play Follow-Up

Unofficial Earnings Play Follow-Up

Hello Smart Option Sellers! Nektar Therapeutics (NKTR) Yesterday we put out an unofficial earnings play on NKTR, hoping to capitalize on a larger-than-expected move from this biotech company. The stock finished yesterday at $19.64 per share. I didn't hear from many of you so I don't know what prices and/or which strikes were ultimately attained. Earnings were mostly received positively by the market as the stock is right back at the $20 level as I type. As mentioned in yesterday's write-up, the worst case scenario for these types of plays is if the stock goes completely nowhere after the announcement. As of now, NKTR is higher by about $.35 per share, not enough to really produce any gains for either the call option or the put option. The $18 put option & the $22 call option combo cost about $.60 per contract yesterday, a bit more than I recommended paying. The $18 put/$23 call combo was about $.45 total, so maybe some of you did that trade. As of now, both of those combinations are worth roughly $.35 & $.25 respectively. Not a complete washout, but slightly underwater at the moment. Since the trade doesn't expire until next Friday August 18th, you can opt to hold to see if the stock will trend to one side or the other by that time. If you do hold, you must exit by then. Or, you can opt to sell out of both options to salvage any value at any time between now and then. Since there is not much time left, both of the options will lose value quickly each day, assuming the stock doesn't go anywhere. Macy's (M) I was deba